Question
Padres Co sells goods subject to a state sales tax of 8%. State law requires that the amount of sales tax collected during the month
Padres Co sells goods subject to a state sales tax of 8%. State law requires that the amount of sales tax collected during the month be remitted by the end of the following month. At the time of a sale, Padres Co credits the sales account for both the amount of sales revenue and sales tax. Sales tax, when paid, is then debited to the sales account. Accrual for sales tax payable is made only at December 31. Sales tax collected during April was $378,400; sales revenue for May was $4,240,000; the total amount credited to the sales account during June was $5,302,800. Total sales tax paid to the state during the months of April, May, and June was $1,107,200. Total sales revenue during January through March was $12,040,000
1) Determine the following amounts: a) sales tax collected in June. 392,800 b) sales revenue reported for March. 4870,000 c) credits to the Sales account during April. 5108400 d) balance of the Sales account at June 30. 26,312,800
Here are the correct answers, can you please tell me how they were computed.
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